In a landmark decision that will significantly strengthen Odisha’s electricity transmission backbone, the State Cabinet has approved the lease of up to 200 acres of government land to the Odisha Power Transmission Corporation Ltd (OPTCL) for constructing 765 kV Grid Sub-stations at concessional premium rates under the Industrial Policy Resolutions (IPRs).
The move comes at a critical time as the state’s power demand continues to surge due to rapid industrialisation, urban growth and rising household consumption.
Until now, OPTCL was eligible for concessional land only for lower-voltage substations under the 2013 policy — 67 acres for 400 kV, 28 acres for 220 kV and 15 acres for 132 kV. With 765 kV substations not envisaged at the time, there was no provision for such high-capacity projects.
Chief Secretary Anu Garg, briefing the media after the Cabinet meeting, highlighted the urgency: “With electricity demand rising continuously, establishing 765 kV Grid Sub-stations has become extremely necessary. This decision will help OPTCL complete projects on time and ensure reliable power supply across the state.”
Key Highlights
- Maximum land: Up to 200 acres (Ac.200.00 dec.) per 765 kV Grid Substation
- Rate: Concessional premium as per applicable Industrial Policy Resolutions (IPRs)
- Condition: Subject to availability and suitability of government land
- OPTCL’s responsibility: All other charges — incidental charges, annual ground rent and cess — will be calculated on market value of the land (not the concessional premium)
This balanced approach ensures OPTCL gets the land it needs at attractive rates while protecting government revenue on recurring charges.
The approval, based on recommendations from the Industries Department, Energy Department and OPTCL, is expected to accelerate the rollout of next-generation transmission infrastructure.
High-voltage 765 kV substations are vital for efficient long-distance power transfer, reduced transmission losses and meeting the state’s growing energy requirements.
